IDEAS home Printed from https://ideas.repec.org/a/wsi/ijitmx/v09y2012i03ns0219877012500174.html
   My bibliography  Save this article

Pricing In Online Auction Procurement A Review Of Empirical Methods And Current Understandings

Author

Listed:
  • MING ZHOU

    (Department of Organizations and Management, Lucas Graduate School of Business, College of Business, San José State University, BT 659, One Washington Square, San José, CA, 95192 – 0070, USA)

  • WILLIAM Y. JIANG

    (Department of Organizations and Management, Lucas Graduate School of Business, College of Business, San José State University, One Washington Square, San José, CA, 95192 – 0070, USA)

  • MENGLIN CAO

    (Credit Risk Management, Wells Fargo Bank, 525 Market Street, 23rd Floor, San Francisco, CA, 94105, USA)

Abstract

The online auction has become an important channel for procurement and sourcing management. As firms often expect lower procurement prices through online auctions, how the prices are determined in online auctions should be of major interest to procurement managers and supply chain researchers. Despite the abundant empirical studies on online auction prices, an aggregated view is still absent. This study fills this gap with a review of extant studies. More specifically, this study provides summaries of all major theories behind online auction pricing, defines and analyzes often encountered econometric issues, and discusses how the treatments of these issues have been operationalized. Towards the end, existing findings on determinants of online auction prices are integrated and examined. The purpose of this study is to provide a convenient and precise package of current studies for researchers and professionals.

Suggested Citation

  • Ming Zhou & William Y. Jiang & Menglin Cao, 2012. "Pricing In Online Auction Procurement A Review Of Empirical Methods And Current Understandings," International Journal of Innovation and Technology Management (IJITM), World Scientific Publishing Co. Pte. Ltd., vol. 9(03), pages 1-17.
    • Handle: RePEc:wsi:ijitmx:v:09:y:2012:i:03:n:s0219877012500174
    DOI: 10.1142/S0219877012500174
    as

    Download full text from publisher

    File URL: http://www.worldscientific.com/doi/abs/10.1142/S0219877012500174
    Download Restriction: Access to full text is restricted to subscribers
    File URL: https://libkey.io/10.1142/S0219877012500174?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Katkar Rama & Reiley David H, 2007. "Public versus Secret Reserve Prices in eBay Auctions: Results from a Pokémon Field Experiment," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 6(2), pages 1-25, January.
    2. David Lucking‐Reiley & Doug Bryan & Naghi Prasad & Daniel Reeves, 2007. "Pennies From Ebay: The Determinants Of Price In Online Auctions," Journal of Industrial Economics, Wiley Blackwell, vol. 55(2), pages 223-233, June.
    3. Milgrom,Paul, 2004. "Putting Auction Theory to Work," Cambridge Books, Cambridge University Press, number 9780521536721.
    4. Rama Katkar & David Lucking-Reiley, 2000. "Public Versus Secret Reserve Prices in eBay Auctions: Results of Pok�mon Field Experiment," Vanderbilt University Department of Economics Working Papers 0026, Vanderbilt University Department of Economics.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Durham Yvonne & Roelofs Matthew R & Standifird Stephen S, 2004. "eBay's Buy-It-Now Function: Who, When, and How," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 4(1), pages 1-24, October.
    2. Paul Resnick & Richard Zeckhauser & John Swanson & Kate Lockwood, 2006. "The value of reputation on eBay: A controlled experiment," Experimental Economics, Springer;Economic Science Association, vol. 9(2), pages 79-101, June.
    3. A T Brint, 2003. "Investigating buyer and seller strategies in online auctions," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 54(11), pages 1177-1188, November.
    4. Patrick Bajari & Ali Hortaçsu, 2004. "Economic Insights from Internet Auctions," Journal of Economic Literature, American Economic Association, vol. 42(2), pages 457-486, June.
    5. Steven Anderson & Daniel Friedman & Garrett Milam & Nirvikar Singh, 2004. "Buy it Now: A Hybrid Internet Market Institution," Industrial Organization 0412003, University Library of Munich, Germany.
    6. Patrick Bajari & Ali Hortacsu, 2002. "Cyberspace Auctions and Pricing Issues: A Review of Empirical Findings," Working Papers 02005, Stanford University, Department of Economics.
    7. Patrick Bajari & Ali Hortacsu, 2003. "Economic Insights from Internet Auctions: A Survey," NBER Working Papers 10076, National Bureau of Economic Research, Inc.
    8. Maurizio Canavari & Andreas C. Drichoutis & Jayson L. Lusk & Rodolfo M. Nayga, Jr., 2018. "How to run an experimental auction: A review of recent advances," Working Papers 2018-5, Agricultural University of Athens, Department Of Agricultural Economics.
    9. Gary Bolton & Ben Greiner & Axel Ockenfels, 2013. "Engineering Trust: Reciprocity in the Production of Reputation Information," Management Science, INFORMS, vol. 59(2), pages 265-285, January.
    10. Han, Jidong & Popkowski Leszczyc, Peter T.L. & Zhang, Zelin, 2021. "Empirical Analyses of Nonlinear Effects of Reserve Prices on Ending Prices in Online Auctions," Journal of Interactive Marketing, Elsevier, vol. 54(C), pages 86-102.
    11. Jennifer Brown & John Morgan, 2009. "How Much Is a Dollar Worth? Tipping versus Equilibrium Coexistence on Competing Online Auction Sites," Journal of Political Economy, University of Chicago Press, vol. 117(4), pages 668-700, August.
    12. Axel Ockenfels, 2009. "Marktdesign und Experimentelle Wirtschaftsforschung," Perspektiven der Wirtschaftspolitik, Verein für Socialpolitik, vol. 10(s1), pages 31-53, May.
    13. Tanjim Hossain & John Morgan, 2005. "A test of the revenue equivalence theorem using field experiments on ebay," Natural Field Experiments 00269, The Field Experiments Website.
    14. Nicola Lacetera & Bradley J. Larsen & Devin G. Pope & Justin R. Sydnor, 2016. "Bid Takers or Market Makers? The Effect of Auctioneers on Auction Outcome," American Economic Journal: Microeconomics, American Economic Association, vol. 8(4), pages 195-229, November.
    15. Diego Moreno & John Wooders, 2011. "Auctions with heterogeneous entry costs," RAND Journal of Economics, RAND Corporation, vol. 42(2), pages 313-336, June.
    16. Baron, David P., 2001. "Private Ordering on the Internet: The eBay Community of Traders," Research Papers 1709, Stanford University, Graduate School of Business.
    17. David Grether & David Porter & Matthew Shum, 2015. "Cyber-Shilling in Automobile Auctions: Evidence from a Field Experiment," American Economic Journal: Microeconomics, American Economic Association, vol. 7(3), pages 85-103, August.
    18. Jiao, Feng, 2011. "Bidding behaviors in eBay auctions: secret reservation price and endogenous entry," MPRA Paper 35081, University Library of Munich, Germany.
    19. Brunner, Christoph & Hu, Audrey & Oechssler, Jörg, 2014. "Premium auctions and risk preferences: An experimental study," Games and Economic Behavior, Elsevier, vol. 87(C), pages 467-484.
    20. Frank Kelly & Peter Key & Neil Walton, 2016. "Efficient Advert Assignment," Operations Research, INFORMS, vol. 64(4), pages 822-837, August.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:wsi:ijitmx:v:09:y:2012:i:03:n:s0219877012500174. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Tai Tone Lim (email available below). General contact details of provider: http://www.worldscinet.com/ijitm/ijitm.shtml .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.